RESTATE
Rethinking the welfare state under political constraints in a changing world

Welfare programs such as social security were initially designed to insure individuals against adverse macroeconomic shocks. Over time, however, they have evolved into politically entrenched entitlements. Demographic developments—most notably declining fertility rates and rising life expectancy—have further exacerbated fiscal pressure, increasing the urgency of reforms while simultaneously making them more politically challenging.

RESTATE asks a fundamental question:

How should an optimal welfare state be designed in a changing world to balance
economic sustainability and political viability?
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​The project develops a new framework for welfare-state design that explicitly accounts for intergenerational redistribution, political frictions, and the limited ability of fiscal authorities to enforce participation. Moving beyond traditional models with fully mandatory programs, RESTATE highlights a central trade-off between maximizing welfare, incentivizing participation, and honoring entrenched entitlements.

Research questions

• How do demographic changes shape the design and functioning of social security programs?
• What is the optimal dynamics of public debt, and how should primary surpluses adjust to rising debt when
  political frictions limit government actions?
• How does optimal public investment interact with social security spending and public debt dynamics?

What RESTATE will deliver
RESTATE combines theory and empirics across three interconnected work packages:

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Get involved
​RESTATE is funded by the European Research Council under the European Union.
Opportunities include PhD and postdoctoral openings, seminars, collaborations, and visiting positions.

ERC-funded Postdoctoral research position

• We offer a two-year Postdoctoral research position (with possibility of extension up to four years) starting as early as June 2026 (flexible starting date).
• Research areas: Macro public finance; life-cycle modelling; computational finance and economics; demography.
• A competitive annual gross salary, with access to favorable tax deductions under the Italian tax relief scheme for inbound researchers (subject to eligibility).
• The benefits package includes full social insurance coverage, flexible working arrangements, and dedicated funds to support participation in international conferences, workshops, research visits, and summer schools, and personal and career development through the department’s mentorship program.
• Successful candidates will join an active and collaborative research team conducting cutting-edge research in dynamic public finance and quantitative macroeconomics.
• Send CV, Job Market paper, motivation letter, up to 2 reference letters to [email protected].

ERC-funded PhD research position

• We offer a four-year PhD research position starting in October 2026.
• Research areas: Macro public finance; life-cycle modelling; computational finance and economics; demography
• Dedicated funds to support participation in international conferences, workshops, research visits, and summer schools.
• No teaching obligations (optional upon agreement and additional compensation).
• Send CV, research statement, motivation letter, up to 2 reference letters to [email protected].